Correlation Between Surrozen and AN2 Therapeutics
Can any of the company-specific risk be diversified away by investing in both Surrozen and AN2 Therapeutics at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Surrozen and AN2 Therapeutics into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Surrozen and AN2 Therapeutics, you can compare the effects of market volatilities on Surrozen and AN2 Therapeutics and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Surrozen with a short position of AN2 Therapeutics. Check out your portfolio center. Please also check ongoing floating volatility patterns of Surrozen and AN2 Therapeutics.
Diversification Opportunities for Surrozen and AN2 Therapeutics
0.24 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Surrozen and AN2 is 0.24. Overlapping area represents the amount of risk that can be diversified away by holding Surrozen and AN2 Therapeutics in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AN2 Therapeutics and Surrozen is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Surrozen are associated (or correlated) with AN2 Therapeutics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AN2 Therapeutics has no effect on the direction of Surrozen i.e., Surrozen and AN2 Therapeutics go up and down completely randomly.
Pair Corralation between Surrozen and AN2 Therapeutics
Given the investment horizon of 90 days Surrozen is expected to generate 0.84 times more return on investment than AN2 Therapeutics. However, Surrozen is 1.19 times less risky than AN2 Therapeutics. It trades about 0.05 of its potential returns per unit of risk. AN2 Therapeutics is currently generating about -0.09 per unit of risk. If you would invest 875.00 in Surrozen on November 5, 2024 and sell it today you would earn a total of 216.00 from holding Surrozen or generate 24.69% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Surrozen vs. AN2 Therapeutics
Performance |
| Timeline |
| Surrozen |
| AN2 Therapeutics |
Surrozen and AN2 Therapeutics Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Surrozen and AN2 Therapeutics
The main advantage of trading using opposite Surrozen and AN2 Therapeutics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Surrozen position performs unexpectedly, AN2 Therapeutics can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in AN2 Therapeutics will offset losses from the drop in AN2 Therapeutics' long position.| Surrozen vs. Bolt Biotherapeutics | Surrozen vs. Larimar Therapeutics | Surrozen vs. Keros Therapeutics | Surrozen vs. Kezar Life Sciences |
| AN2 Therapeutics vs. Aerovate Therapeutics | AN2 Therapeutics vs. Adagene | AN2 Therapeutics vs. Acrivon Therapeutics, Common | AN2 Therapeutics vs. Rezolute |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Positions Ratings module to determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Money Managers Screen money managers from public funds and ETFs managed around the world |